Cannyx Market Data | US CBD Sales Outlook 2019-2025
U.S. sales of CBD are expected to grow 14% and reach $4.7 billion in sales in 2020, according to new data from the Brightfield Group.
Source – Brightfield Group
However, growth in the CBD sector has been stunted by industry headwinds and other coronavirus-induced challenges. According to the research US CBD sales, during 2020, are now forecast to be significantly lower than previous estimates amid fallout from pandemic-related store closures, unemployment and inaction by the FDA on food-related products, according to a recent report from cannabis data firm Brightfield Group.
The U.S. CBD market is now projected to reach $4.7 billion in sales in 2020, up 14% from 2019; that’s down from a prior forecast of about $8 billion issued last year. Brightfield also significantly reduced its outlook for 2023 to $12.4 billion from about $20 billion previously.
The report highlighted that despite the challenges facing CBD brands, opportunities remain for companies focused on sharpening their e-commerce strategies and increasing direct-to-consumer sales. CBD companies with a well-recognized brand and a strong digital marketing strategy are expected to fare best in this challenging environment.
- According to Brightfield, 45% of CBD consumers surveyed in June had moved their purchases online as a result of stay-at-home orders and a reduced ability to shop in-person due to COVID-19.
- Meanwhile, 54% of millennial shoppers have switched to online ordering, and increased spending on CBD products.
- CBD companies with a well-recognized brand and a strong digital marketing strategy are expected to fare best in this challenging environment.
- The report also notes that companies that spend time building a database of e-newsletter subscribers, and have large social media followings, are in a better position to capitalize on the current consumer environment.
Source | Brightfield Group
